Appliance companies to test out e-commerce "good grades"

Appliance companies to test out e-commerce "good grades" According to the Analysis Report on Home Grid Acquisition in the First Half of 2013 issued by the Institute of Electronic Information Industry Development of the Ministry of Industry and Information Technology on August 12, China's B2C home network purchase market accounted for 17.7% of the total B2C online shopping market transaction volume in the first half of this year. In this wave of e-commerce, Zhongshan's well-known home appliance companies also actively participate. Among them, China Vantage's online shopping income increased threefold in the first half of this year, and its online shopping income increased 30 times in four years. Galanz air-conditioning is among the top sellers in e-commerce platforms such as Tmall and Jingdong.

Statistics: Three companies in the first half of the year have good results

In the first half of 2013, Vantage Co., Ltd. released its 2013 first-half performance report. In the first half of 2013, the company achieved operating revenue of RMB 1,815,127,800, an increase of 54.29% over the same period of last year, benefiting from Tmall, Jingdong and Suning. The promotion of such online platforms has increased, and online shopping income has increased threefold. It is reported that Vantage involved in e-commerce from 2008. Blue Sword, director of the Vantage E-Commerce Center, told reporters yesterday (August 14th) that the first year of Vantage's sales through the Internet only completed sales of 5 million. At that time, many people inside the company looked down on the e-commerce sector. However, in 2010, online shopping income has exceeded 40 million. Last year, online shopping sales exceeded 160 million yuan. Last year, Vantage sales were 2.8 billion, and online sales accounted for 5.7%. Compared with 2009, it has turned over 30 times. According to the plan, the Vantage Group's online sales plan for the first half of this year was 270 million, but it was over-completed in the first half of the year.

In addition to Vantage shares, Gan Jianguo, sales director of Galanz Air Conditioning China Market, also told reporters that "from June to July this year, Galanz air-conditioning ranked first in sales of e-commerce platforms such as Tmall, Jingdong and Yixun, and only Jingdong. The sales amounted to more than 1 billion yuan. According to the internal data of Yi Xun, in the air-conditioning sales ranking of Yi Xun from June to July this year, Galanz ranked first, accounting for 29.32%. The rankings behind Gree, Haier, Hisense, Chigo, TCL, and Kelon accounted for 13.69%, 10.54%, 7.57%, 6.22%, 5.29%, and 5.13%, respectively. Ovid Consulting's data also showed that Galanz air-conditioners accounted for 11.6% of online sales during the period from May to July this year, ranking third, and the proportion of single month in July has reached 13.7%, ranking first.

In addition, Omar also achieved outstanding results. In a report released on July 15, Guojin Securities pointed out that the growth of domestic sales of Oma Electric's independent brands was more from e-commerce. In the past six months, Oma Electric’s sales channels mainly consisted of traditional distributors. , Appliance stores and e-commerce accounted for 55%, 35% and 10% respectively. It is reported that E-Commerce's e-commerce started relatively late last year.

Advantage: 28 people complete 270 million sales in half a year

Huang Qijun, president of Vantage Co., Ltd., said in an interview earlier this week that e-commerce may be the direction of corporate transformation in the future. He said that Vantage has about 10,000 outlets nationwide. According to each of the two sales staff in each store, the labor cost of a store is about 50,000 yuan, and 10,000 outlets are worth 500 million yuan. If it is e-commerce, investment in information can save a lot of costs in terms of speed and efficiency. It is reported that the Vantage E-Commerce Center, which completed sales of 270 million yuan in the first half of this year, is actually a small team with only 28 individuals, and its per capita sales have exceeded 90 million yuan. The team's operating costs accounted for 18% of total sales, which means that the operating costs of the e-commerce center in the first half of this year were only 408.6 million yuan.

At the same time, compared with traditional distribution channels, e-commerce is slightly inferior to store sales in terms of time. However, the current home appliance industry doing e-commerce is gradually changing the kind of high-pressure oppression policy in the past, and achieved rapid turnover through high turnover rate.

Galanz stated that they had produced the first day of production through the survey of the peak season and reached consumers on the seventh day. The average turnover rate in normal conditions only takes 15 days. In order to enhance the after-sales service, Galanz Air Conditioning plans to build two centers, a headquarters call center and a headquarters accessories center, to increase consumer satisfaction.

Vantage also built large-scale warehouses in Beijing, Chongqing, Guangzhou, and Hangzhou, which are distributed from warehouses to more than 180 distribution areas such as eBay, Taobao and JD. The delivery time is approximately 2-3 days.

Future: Traditional industries will pack net sales
Last month, the signing ceremony for the “Zhongshan Meiju (Eastern Shijiazhuang District-Eastern District) Economic Cooperation Zone and Industrial Park Launching Ceremony” was held in Fuwan Industrial Zone. "Zhongshan Meiju" refers to the centralization of the traditional industries such as Zhongshan home appliances, lighting, hardware, furniture, and clothing. Through the e-commerce platform and entity experience center as a platform, integrated marketing services are the main form, providing a better solution to the overall home life. The plan promotes the integration of high-quality development of happiness-oriented industries closely related to indoor living, increases industrial concentration and brand influence, and fosters new economic growth points.

At the time of the launching ceremony, Feng Xiaorong, vice mayor of Zhongshan City, stated that with the deceleration of foreign trade growth, the adjustment of the domestic stimulus spending policy, and the constraints of internal factors such as the small scale, low level of the Zhongshan industry, and weak innovation ability, etc. The development of advantageous traditional industries in Zhongshan faces enormous challenges. “Zhongshan Meiju” is an important strategic deployment action that Zhongshan Municipal Party Committee and Government is committed to accelerating the transformation and upgrading of the advantageous traditional industries in Zhongshan.

[doubt]

Whether online sales will affect the interests of distributors
At the annual conference held in Galanz in March this year, Mr. Wang, a Galanz distributor in Anhui, revealed to reporters that Galanz promoted e-commerce. Many consumers completed product purchases through online shopping and seriously seized the cakes of distributors. . According to interviews, the relationship between online and offline enterprises is an important reason that has affected the development of e-commerce in the past years.

Yesterday (August 14) morning, Lan Jian, director of the Vantage E-Commerce Center, told reporters that to do e-commerce, we must open up the relationship between upstream and downstream. The Blue Sword said that it is reasonable for offline dealers to resist. For example, Guangzhou customers purchased Vantage products online, and Guangzhou dealers think that their sales sites have been occupied. Because dealers think that these customers will buy online if they do not buy online, it is equal to the online platform divided their cakes. However, in fact, Vantage internal data analysis, the purchase of Vantage products on-line population age is between 25-35 years old, and the offline population is between 35-45 years old. Blue Sword believes that consumers will choose sales channels, but they will not choose products. Even if they do not purchase Vantage products, they will buy other brands of products. In order to solve this problem, Vantage said that they can only increase their feedback on dealers. Now, after-sales profit is usually RMB 150-300 per unit of product sold, and some peers give distributors only service costs. 5%.

[Exploration]

Home appliance industry taste sweet other industries?

Zhongshan's home appliance industry can achieve good results through e-commerce? Can other industries in Zhongshan learn from this? According to Li Dongcheng, an analyst at the former generation of e-commerce providers, home appliances are very standardized products that do not require a special and meticulous experience, and the unit price is mostly below 5,000 yuan, which is not too expensive and is suitable for e-commerce.

Li Dongcheng said that because of the lack of logistics support, many consumers are not assured of the quality of online sales, and e-commerce has therefore been limited in development. In recent years, Alibaba, eBay, and Taobao have all set up logistics, breaking the traditional logistics bottleneck, and the home appliance industry has first tasted the sweetness and developed rapidly. In the future, other standardized products can also be developed using e-commerce as a breakthrough point. That is to say, the standardization products of other traditional industries in Zhongshan can also take the e-commerce road. The “Zhongshan Meiju” project will help the transformation of traditional industries. With regard to upgrading, but how it operates, it depends on how companies in various industries have contributed.

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